Faustin Archange Touadera, President of CAR passed the bitcoin adoption bill into law today

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The Central African Republic today made a milestone in the cryptocurrency world by passing the bill to adopt bitcoin as legal tender into law.

Today 27th of April 2022, the president of Central African Republic, Faustin Archange Touadera passed the bill that was unanimously voted for in the national assembly into law. This is a very good development in the right direction for the first African country and the second country that will adopt bitcoin as a legal tender in the world. The country becomes the second country that will adopt bitcoin as a legal tender after El Salvador.

I read that the country's fiat currency has a very low inflation rate and the major reason for the adoption of bitcoin by most of the countries is to combat the inflation rate.

in fact, it was known that the inflation rate around the US dollar is more pronounced than the inflation rate around the Central African Republic fiat currency, XAF.

The XAF is a regional currency that was introduced by France and it is spent in some other African countries like Cameroon, Gabon , Equatorial Guinea , Chad and Congo. The inflation rate around XAF is usually below 4% annually and the highest was 12% in the last five years.

 

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This is a very wonderful news on cryptocurrency and it is much expected because the country has been on this for a very long time and it has come to reality in the last. This is the major reason why one need to be very careful of crypto related activities that the government does not have interest on. From now onwards, the cryptocurrency community in the Central African Republic now have a good chance in the country. This is the second country in the world that will use bitcoin as a legal tender. I am of the opinion that it will be more pronounced in this country than a El Salvador because this country does not have a fiat currency of its own rather the currency that it used in the country is regional currency. Bitcoin has taken a a lead again amongst all the cryptocurrencies. This is a major milestone in the cryptocurrency world because it will cause a significant spike in the price of bitcoin as we have seen in the case of El Salvador in the past. When El Salvador adopted bitcoin as a legal tender there was a tremendous increase in the price of bitcoin at that time .so, it will be very advisable to keep bitcoin right now for a long term investment.